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Home > Business > PTI > Report

More US jobs to shift out, mostly to India

October 09, 2003 15:52 IST

The number of jobs moving out of the United States would increase from 600,000 in 2005 to 1.6 million in 2010 and 3.3 million in 2015, Forrester Research Inc Group director John McCarthy said in Bangalore.

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"The number of US service jobs moving out of the country would only rise in the coming years," McCarthy told IT honchos at a talk organised by the National Association of Software and Service Companies.

He said outsourcing would take US jobs in the short-term but eventually technology would eliminate lot of clerical jobs.

"The movement of jobs would be to low-cost countries and top of the list is India, from where nearly 85 per cent of the outsourcing is done," McCarthy later told reporters.

Stating that the prices of business process outsourcing would drastically fall in the next few years, he said Indian firms had opportunites to run BPO outfits in niche areas where they can maintain profitability.

He said the steepest fall would occur during what he called the "re-engineering/offshore phase" from 2004 to 2007.

BPO vendors, on the other hand, would be competing to establish themselves and bring down the prices aggressively, McCarthy said.

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Number of User Comments: 3

Sub: BPO: An opportunity not a bane!

This so called shift of 2nd grade jobs to India from the U.S. is what is really helping the local economies in India boom. Engineers ...

Posted by Rajesh Jaisingh

Sub: rajeeb lath

The success in offshoring Business Process operations with respect to reducing costs and often improving quality has encouraged many firms to start offshoring their high-end ...


Sub: US is offering 2nd grade jobs to INDIA

in my opinion US is only offering india the second hand jobs.for eg. even engineers in india will have to work in bpo due to ...

Posted by suryabir singh



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